and this my friends, is why investing is a very good thing

Even improving 1% per day for two days, then backsliding 1% for one day, and repeating that pattern will yield a change of * 3.3.

So even if you take two steps forward and one step back all year you’ll be 3.3 times better than you were at the start of the year.

Why is it exponential?

i hate this mindset cause it's unsustainable and literally impossible

Oof.

I'm skeptical of 1% better every day. But I have experienced 1% worse, and it's bad.

A 1% gain on 100 is 1. A 1% gain on 1000 is 10. The magnitude of the gain increases. The farther you go the better the gain

I’m in Calc 1 and I couldn’t figure that out smh.. maybe I should review the basics.

then, do what you can!

Yeah stop watching dumb social medias with people photoshopping their pictures and lying about their lives. Focus on yourself. Just try to be better than you from yesterday it adds up

For millionth fucking time. This is not how it works. Delete this garbage figure from the internet I’m tired of seeing it.

Let t0 = a

Then

> t1 = t0 + 0.01*t0 = 1.01*t0

And

> t2 = 1.01*t1 = 1.01*1.01*t0

> t3 = 1.01*t2 = 1.01*1.01*1.01*t0

> …

> tn = (1.01)^n * t0

This makes perfect sense, thank you :)

The speed of the decline is the same as the speed of the gain, it's an about order of magnitude, times three. It looks different in the graph but the graph is misleading.

If you're talking about relative gains/losses you should use a logarithmic base.

Cuz if you wanna work back up from 0.03 to 1 it will take you a year as well at that rate.
And if you wanna crash from down 37 to 1 that will also take you a year.

Day trading in an ELI5

I agree

Training a skill is more of a sine graph then an exponential graph, sure you get better overall over time, but there are times when you do badly and times when you do extraordinary.

Yep. You can’t be 37 times better at something in a year. It’s dumb.

I met a guy at the pool who was trying to double his swimming distance each time he visited ... 4 lanes, 8 lanes, 16 lanes, etc... that was about 10 years ago, wonder how he's doing now. Maybe he's the guy who made this mathematically absurd chart.

Stomp forward. Stomp forward again. Backslide one time. Cha cha real smooth.

elaboration?

This Reddit post lol

Being 1% better than yesterday is better than nothing or being worse

Actually it's also a bit depressing: this math just proves that you CAN'T improve everyday by 1%.

Also progress isn’t always linear. As a former social worker, I get that this encourages people to do better. But it’s misleading and not considered attainable when goal setting.